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Jun 30
Commerce Bank Q2 2025 Earnings Report
Commerce Bancshares, Inc. reported strong financial performance in the second quarter of 2025, driven by loan growth, strong fee income, and disciplined expense management.
Key Takeaways
Commerce Bancshares, Inc. announced earnings of $1.14 per share for the second quarter of 2025, with net income reaching $152.5 million. This performance reflects a diversified operating model, supported by increased net interest income and non-interest income, alongside lower credit costs.
Net income for Q2 2025 was $152.5 million, an increase from $131.6 million in the prior quarter and $139.6 million in the same quarter last year.
Earnings per share for Q2 2025 were $1.14, up from $0.98 in the prior quarter and $1.03 in the same quarter last year.
Net interest income reached a record $280.1 million, an $11.0 million increase over the prior quarter, driven by fixed-rate asset repricing, higher loan demand, and a strong deposit franchise.
Non-interest income totaled $165.6 million, an 8.8% increase over the same quarter last year, primarily led by trust fees and bank card transaction fees.
Commerce Bank
Commerce Bank
Commerce Bank Revenue by Segment
Revenue by Segment
Trust fees Revenue
CapyFin.comBank card transaction fees Revenue
CapyFin.comDeposit account charges and other fees Revenue
CapyFin.comCapital market fees Revenue
CapyFin.comConsumer brokerage services Revenue
CapyFin.comLoan fees and sales Revenue
CapyFin.comOther non-interest income Revenue
CapyFin.com Forward Guidance
Commerce Bancshares, Inc. is well-positioned to execute its long-term strategies, serve customers, and deliver shareholder value. The acquisition of FineMark Holdings, Inc. is expected to close on January 1, 2026, bringing new capabilities and extended market reach.
Positive Outlook
- Strong financial performance in Q2 2025, reflecting a diversified operating model.
- Continued benefits from fixed-rate asset repricing and higher loan demand.
- Strong deposit franchise contributing to record net interest income.
- Excellent credit quality of the loan portfolio with low non-accrual loans.
- Strong capital and liquidity levels.
Challenges Ahead
- Net bank card fees decreased compared to the same period last year.
- Net credit card fees decreased due to higher rewards expense.
- Total average available for sale debt securities decreased.
- Unrealized loss on available for sale debt securities remains significant.
- Higher non-interest expense compared to the prior year, mainly due to salaries, benefits, and professional services.